Overview:
- The NZD/USD pair was trading around the area of 0.7289 - 0.7226 a week ago. Today, the level of 0.7289 represents a daily pivot point in the H1 time frame. The pair has already formed minor resistance at 0.7289 and the strong resistance is seen at the level of 0.7355 because it represents the weekly resistance 1. So, major resistance is seen at 0.7355, while immediate support is found at 0.7226. If the pair closes below the daily pivot point of 0.7289, the NZD/USD pair may resume it movement to 0.7226 to test the first support 1. From this point, we expect the GBP/USD pair to move between the levels of 0.7289 and 0.7289 . Equally important, the RSI is still calling for a strong bearish market as well as the current price is also below the moving average 100. As a result, sell below the daily pivot point of 0.7289 with targets at 0.7289 and 0.7185 in order to form a new double bottom. On the other hand, stop loss should always be taken into account, accordingly, it will be of beneficial to set the stop loss above the last bullish wave at the level of 0.7355.
